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Tariffs

Trump's Tariff Policy Divides Wall Street and Main Street

Strategic Insights

— 2 min read

As the global trade wars escalated, voters and financial markets reacted with widespread concern about President Donald Trump's tariff policy. However, the financial markets have since stabilized, with the Dow Jones Industrial Average reaching near-record highs, while mainstream voters remain skeptical about the tariffs' impact. A recent poll by the Pew Research Center found that 61% of Americans disapprove of Trump's tariff policy, while only 38% approve.

Key Takeaways:

  • The Pew Research Center poll in mid-August found that 61% of Americans disapprove of Trump's tariff policy, while only 38% approve.
  • The same poll found that 15% of Americans strongly approve of the Trump administration's policy of imposing higher tariffs on goods, while 39% strongly disapprove.
  • A flash Washington Post poll in early March found that only 40% of voters supported Trump's vision for tariffs on Canada, China, and Mexico.
  • The unpopularity of tariffs mirrors the decline in Trump's handling of the economy, with a Gallup poll finding that only 37% of voters approve of his handling of the economy, a stark reversal from his first term when he averaged 52% approval.
  • Democrats believe that these factors will not be enough, and that Trump's tariffs will lead to a big political backlash against Republicans.
  • In Virginia, Democrat Abigail Spanberger is running ads consistently focused on inflation and the cost of living, and holds a steady lead in the governor's race.
  • In western Iowa, Democrats won a special election for a state Senate seat, representing a more than 20-point net swing in their direction.

Statistics:

  • 61% of Americans disapprove of Trump's tariff policy (Pew Research Center, mid-August)
  • 15% of Americans strongly approve of the Trump administration's policy of imposing higher tariffs on goods (Pew Research Center, mid-August)
  • 39% of Americans strongly disapprove of Trump's tariff policy (Pew Research Center, mid-August)
  • 40% of voters supported Trump's vision for tariffs on Canada, China, and Mexico (Washington Post, early March)
  • 37% of voters approve of Trump's handling of the economy (Gallup, Tuesday)
  • 37% of independents support Trump's handling of the economy (Gallup, Tuesday)
  • 71 employees laid off at John Deere's Waterloo site due to the cost of tariffs (John Deere, last week)
  • A couple hundred more employees laid off from John Deere's plants in western Illinois due to the cost of tariffs (John Deere, last week)

Sources:

  • Pew Research Center, "Most Americans oppose Trump's tariff policy" (mid-August)
  • Washington Post, "Poll: Trump's tariff plan divides Americans" (early March)
  • Gallup, "Trump's approval rating drops to 37% on economy" (Tuesday)
  • John Deere, "Layoffs announced due to cost of tariffs" (last week)
  • Des Moines Register, "Democrats win Iowa state Senate seat in special election" (Tuesday)
  • The Guardian, "Democrats win Iowa state Senate seat with focus on pocketbook issues" (Tuesday)

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